A wood pellet plant in Williams Lake is ceasing operations at the end of 2025.
Internationally-owned Drax announced the pending closure of its Williams Lake plant in a press release on Nov. 26, citing the curtailment of area sawmills and the loss of a bid for “key local supply.”
The release states these have led to a significant reduction in fibre availability and the operation of the plant is therefore no longer viable.
The plant will cease operations after a wind-down when fibre runs out, which they expect to occur by the end of 2025.
“The decision to cease operations weighs heavily on us, as we recognize the uncertainty it creates for our dedicated employees and their families,” says Matt White, executive vice president of pellet operations for Drax.
The closure will impact 30 employees, according to the release, who will receive a severance package, well-being support and all are being encouraged to apply for open positions at other Drax sites.
The closure comes after extensive work by Atlantic Power, the city of Williams Lake and other levels of government took place over the last two years to secure an affordable fibre supply for the Atlantic Power Williams Lake Biomass Power Plant.
The city said the closure will mean a $400,000 loss of taxation revenue for the city.
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